Korea Now: South Korea’s Exports and North Korea’s Foreign⁤ Currency Reserves

Welcome to Korea Now, where we bring you the latest news ⁢from Korea. I’m your host, and joining me today is reporter Wonki Choi.

South Korea’s Exports Reach $57.9 ‍Billion in August

Reporter Wonki Choi: ⁤South Korea’s exports in August reached $57.9 billion, ​with imports at $54.1 billion, resulting in a trade‍ balance surplus ‍of $3.8 billion. This marks the 11th consecutive month⁢ of export growth since October last year.

Host) What’s driving this growth?

Reporter Wonki⁢ Choi: Semiconductor exports led the way, with $11.9 billion in‍ August. The combined‌ export amount of semiconductors from January to August this year is $88.8 billion, and ⁤we expect this trend to continue in the fourth quarter.

Automobile ⁤Exports⁤ Slow Down

Reporter Wonki Choi:⁢ Automobile exports, on the ‌other ‌hand, have slowed down a bit.‍ We saw a‍ 4.3% decrease from ​the same period last year, with⁣ exports amounting to $5.1 billion.⁣ Hybrid car exports increased, but electric car exports decreased by ​54%.

Cosmetics and Food Exports on the Rise

Reporter Wonki Choi:‌ Cosmetics exports continued to increase, reaching $800 million in‌ August.‌ Agricultural and food products, such as kimbap, ramen, and snacks, were exported ⁣at $6.4 billion.

North Korea’s Foreign Currency ​Reserves Depleted

Reporter‌ Wonki Choi: According to a report by the Korea Institute for National Strategy, North Korea’s foreign currency reserves are being depleted. The report estimates that North Korea earned⁢ $6.2 billion in income through illegal​ activities over the past seven years.

Host) What kind of illegal activities are we talking about?

Reporter Wonki Choi: North Korea is under UN Security Council sanctions due to its nuclear development. Most illegal transactions are seen​ as violations of these sanctions. This⁤ includes coal smuggling, arms exports, cyber hacking, and dispatching foreign⁤ currency-earning workers.

Coal Smuggling Accounts for Largest Portion of Illegal ⁤Activities

Reporter Wonki Choi: Coal smuggling accounts for the largest portion at $2.15 billion. ‌Foreign currency earned by sending workers to China and Russia accounted for​ $1.75 billion, while Internet hacking and cyber foreign currency earned accounted for $1.35 billion.

North Korea’s Foreign ⁤Currency Reserves⁣ Estimated at $8.1-8.6 Billion

Reporter Wonki Choi: It’s estimated ⁣that‌ North Korea’s total foreign currency holdings are around ⁢$8.1-8.6 billion. However, most of the foreign currency is held by the private sector, so the foreign currency ⁣controlled by the government​ is likely to be quite ⁤small.

Host) Thank‌ you, Wonki Choi, for joining us today.

Reporter Wonki‌ Choi: Thank you.